C.I.T. BIKANER vs. GOURI SHANKAR SINGHAL

[1] IN THE HIGH COURT OF JUDICATURE FOR RAJASTHAN AT JODHPUR J U D G M E N T D.B. INCOME TAX APPEAL NO.17/2015 Commissioner of Income Tax, Bikaner Versus Sh. Gouri Shankar Singhal Date of Judgment :: 29.01.2015 PRESENT HON'BLE MR. JUSTICE GOVIND MATHUR HON'BLE MISS JUSTICE JAISHREE THAKUR Mr. K.K. Bissa for the appellant BY THE COURT : The assessing officer by comparing case of the assessee with some other firm treated his gross profit rate as 17.22% and added a sum of Rs.20,12,417 with taxable income. Being aggrieved by the same, the assessee preferred an appeal before the Commissioner of Income Tax (Appeals) and that came to be accepted under the judgment dated 28.02.2013. Learned Commissioner of Income Tax (Appeals) after considering submissions of the assessee arrived at a conclusion that the case quoted by the assessing officer was not applicable in the case in hand. Learned Commissioner of Income Tax (Appeals) directed the assessing officer to apply gross profit rate of 7.19%. The Revenue assailed validity of [2] the order passed by the Commissioner of Income Tax by way of filing an appeal before the Income Tax Appellate Tribunal, Jodhpur Bench, Jodhpur, that came to be rejected by the judgment impugned dated 13.12.2013. While questioning correctness of the orders passed by the Commissioner of Income Tax (Appeals) and the Income Tax Appellate Tribunal, the argument advanced by learned counsel for the appellant-Revenue is that the assessing officer compared gross profit rate of the assessee with a firm situated in the same vicinity and involved in the same business. According to learned counsel, a rational and reasonable criteria was adopted by the assessing officer and that should have not been interfered by the Appellate Tribunal. We do not find any merit in the argument advanced. Learned Commissioner of Income Tax while determining 7.19% as gross profit rate noticed that the assessing officer while rejecting the books of accounts applied gross profit rate of 17.22% on basis of the case of M/s. Tarsem Kumar & Co., but the same was distinguishable on facts. The Commissioner of Income Tex on examination of peculiar facts of the instant case, arrived at the conclusion that the highest gross profit rate of immediately 2 previous assessment orders should be accepted as gross profit rate. Accordingly, the rate of 7.19% was applied. The orders passed

[3] by the Commissioner of Income Tax as well as the Income Tax Appellate Tribunal are quite reasoned and those do not require any interference being not having any substantial question of law to be adjudicated. The other argument advanced by learned counsel for the appellant pertains to creditworthiness of the assessee and that too, in our opinion, does not involve any substantial question of law that may warrant interference in this appeal.

The appeal is dismissed, accordingly. [JAISHREE THAKUR], J. [GOV IND MATHUR], J. Pramod